A stop order is an order to buy or sell a stock once the price of the stock reaches a specified price, known as the stop price. When the specified price is reached, your stop order becomes a market order. The advantage of a stop order is you don't have to monitor how a stock is performing on a daily basis. The disadvantage is that a stop price purchase or sale could be activated by a short-term fluctuation in a stock's price. In addition, the price at which your trade is executed may differ from the stop price, especially in a fast-moving market where stock prices can change rapidly.
Investing Quiz – July 2021
Test your knowledge on common investing terms and strategies and current investing topics.
What is ESG?
Did you know that ESG stands for environmental, social, and governance? Read more about ESG investing in our glossary.
Protecting Your Online Accounts
Read our investor bulletin for tips on how to safeguard your personal financial information and protect your online investment accounts.